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Ad free channel ends unfair privileges to overseas manufacturers https://www.observerbd.com/news.php?id=336154 Published : Wednesday, 20 October, 2021 at 12:00 AM M S Siddiqui M S Siddiqui Bangladesh's The Cable Television Network Management Act 2006 prohibited transmission of advertisement by foreign Television channel (sect 19 -sub-sec13) and transmission should be clean feed. Clean Feed means TV feeds without any extra on-screen digital graphics or text in their broadcasts. No TV commercials or cuts, or even underlying marquee texts are carried on the television by a TV station with a clean feed. There is no opportunity for foreign televisions to broadcast any kind of advertisement in Bangladesh since 2006. Different government since 2006 could not implement the law and reason not explained so far. The present government notified the distributors about the ban on foreign channels with advertisements in April 2019. The government discussed this issue with the cable operators and agents many times before, and lately directed them to be compliant with the law by September 30 this year. The reason for this is the loss of government revenue. The government does not get any revenue from the advertisements aired on foreign channels. According to the Minister for information, Bangladesh had missed out on Tk2,000 crore in investment due to un-regulated and free advertisements on foreign channels. Bangladesh yet to assess the loss of market of local manufacturers and loss of revenue due to free promotion of foreign products. There are two types of television channel into practice, one is the Pay channel, where the viewers pay for watching particular channels. The other type of

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The Clean Feed Strategy would give a level playing field to Bangladeshi manufacturers and foreign manufactures. Although late the government has taken a bold decision.

Transcript of [email protected]

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Ad free channel ends unfair privileges to overseas manufacturers https://www.observerbd.com/news.php?id=336154

Published : Wednesday, 20 October, 2021 at 12:00 AM

M S Siddiqui

M S Siddiqui

Bangladesh's The Cable Television Network

Management Act 2006 prohibited transmission

of advertisement by foreign Television channel

(sect 19 -sub-sec13) and transmission should be

clean feed. Clean Feed means TV feeds without

any extra on-screen digital graphics or text in

their broadcasts. No TV commercials or cuts, or

even underlying marquee texts are carried on

the television by a TV station with a clean feed.

There is no opportunity for foreign televisions

to broadcast any kind of advertisement in

Bangladesh since 2006. Different government

since 2006 could not implement the law and

reason not explained so far. The present government notified the distributors

about the ban on foreign channels with advertisements in April 2019. The

government discussed this issue with the cable operators and agents many times

before, and lately directed them to be compliant with the law by September 30

this year.

The reason for this is the loss of government revenue. The government does not

get any revenue from the advertisements aired on foreign channels. According

to the Minister for information, Bangladesh had missed out on Tk2,000 crore in

investment due to un-regulated and free advertisements on foreign channels.

Bangladesh yet to assess the loss of market of local manufacturers and loss of

revenue due to free promotion of foreign products.

There are two types of television channel into practice, one is the Pay channel,

where the viewers pay for watching particular channels. The other type of

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channel is the Free to Air channels where viewership is for free. Although the

free to air channels operate with the advertisements, they don`t charge the

viewers. However, there is an international trend where Pay channels operate

without showing any advertisements to the viewers as they are charging the

viewers. The narrative behind the argument of clean feed is the policy reform.

Whereby, the Paid T.V channels in America, Europe, and South East Asia

cannot show content with advertisements. However, they can charge the viewers

accordingly.

Unfortunately, the channels are charging Bangladesh viewers for both pay and

free channels. The subscribers are paying for the channels and also those

channels earning money from advertisements, which are illegal according to

Bangladesh law of 2006. The multinational and Indian companies are enjoying

free promotion of their products in Bangladesh and moreover, Bangladesh

viewers paying cost of the transmission. The policy's intentions are meant well

for the consumer rights.

These same channels use to provide the distributors of other countries with

clean feed. The distributors can also clean the feed by cutting the

advertisements. India also don't allow any Bangladesh programme with

advertisement. BTV provide India with clean feed. Some programmes, such as

Ityadi, a very popular in India are sent with advertisements but the Indian DTH-

DD Free Dish server cuts the advertisements before broadcast.

Indian TV stations provide Saudi Arabia and other Middle-Eastern countries

with clean feed and no Indian ads, prioritizing Arabian content. They broadcast

only Middle-Eastern advertisements there, even by dubbing into Arabic. The

broadcasters must not give whatever feed they have to a big market like

Bangladesh. A former DG of BTV said the advertisements aired in Bangladesh

by foreign channels are different from others. Viewers won't see them even in

Kolkata. It means they are giving the ads targeting the viewers in Bangladesh.

Many foreign channels are going on air after paying for the advertisements in

India. Such channels come to India without advertisements and are shown to

Bangladesh filling the content with Indian advertisements there. Most Indian

channels charge Bangladesh viewers but also feature advertisements.

Multinational companies (MNC) have thus never felt the need to use local

television channels as a medium to reach out to Bangladeshi consumers and

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Take advantage of investment in India for both Bangladesh and Indian market.

On the other hand, if a local brand has to acquire a market, it has to spend huge

amount for branding and popularizing their products in Bangladesh. Whereas,

an MNC that has its ads broadcasted in foreign channels with more reach has to

spend several folds less to acquire the same market.

The commercials made by MNCs and conglomerates casting foreign celebrities

and featuring foreign locations would disregard Bangladeshi culture, social

customs, traditions, life styles and other fundamental conventions; rather, they

would promote foreign culture, norms and traditions to the extent of roiling the

ethnic and linguistic harmony prevailing in various communities in the country.

If MNCs and conglomerates want to air commercials on Bangladeshi TV, they

will have to shoot them in the country itself. Further they will have to employ

local resources and hire Bangladeshi artistes. This will give a level playing field

for local brands promote the branding of Bangladeshi products, and Bangladeshi

channels will get ads, which will help increase their income.

As for example, Indian 'Parachute' hair oil advertises through foreign channels,

and shown to Bangladesh consumers for not cost, whereas 'Jui' Hair oil can put

ads on local channels only. So naturally, any local consumer who also consumes

the content of foreign channels that broadcast ads will be more conditioned to

buy products of the MNC than the local business. Many of the foreign brands

are already go promotion in Bangladesh and advantage over the domestic

manufacturers. The Clean Feed Policy will help expand also the domestic

advertising industry. It will require domestic advertisers to invest in and produce

more commercials to fill the slots in channels with clean feeds. The Competition

Commission Act 2012 prohibits such undue and uneven advantage to the MNC

and overseas manufacturers.

Many countries have implemented regulatory policies aimed at monitoring

foreign channels and commercials. Our neighbouring countries like India, Sri

Lanka, Nepal and Pakistan have already imposed restriction on foreign TV

channels without clean feed. Bangladesh is late to implement the policy and

even facing resistance from local cable operators and some others. A Supreme

Court lawyer sent a legal notice to the government saying that he will take

necessary legal steps including moving a writ petition before the High Court

against them if they do not resume broadcasting foreign TV channels within a

week.

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In the legal notice, he said millions of people in Bangladesh pay necessary fees

for watching foreign TV channels, but they are now being deprived of enjoying

the programs. He claimed that in the legal notice that most people of

Bangladesh enjoy shows on foreign TV channels as functions of local channels

are often substandard. According to the lawyer "Bangladesh law was passed in

2006 but has not been implemented in the last 15 years. And what has been

going on for 15 years has somehow become a custom".

The government has taken a bold decision. The Information Minister &

Broadcasting Dr Hasan Mahmud said, in the interest of the country, in the

interest of the people, in the interest of all in the country's media industry,

Government is working to implement ad-free broadcasting or clean feed of

foreign channels in accordance with the law. So it is never desirable for anyone

to take a stand against the interests of the country and everyone or for someone

to advocate for them.

The implementation of the law will encourage providers of broadcast signals to

substitute commercials on international television networks with local

advertising, as is the case with most developing countries. The Clean Feed

Strategy would give a level playing field to Bangladeshi manufacturers and

foreign manufactures. Although late the government has taken a bold decision.

M S Siddiqui is a Legal Economist